An early Thanksgiving celebration in U.S. markets

As the U.S. prepares to celebrate Thanksgiving, investors are already reaping early rewards in the stock market. The S&P 500, Dow Jones Industrial Average, and Nasdaq Composite all achieved their fourth consecutive day of gains, showcasing a robust performance. Notably, Oracle's shares surged approximately 4% after Deutsche Bank suggested that the recent dip in its stock price presents a compelling opportunity for investors. This positive sentiment also extended to other tech and AI-related giants like Nvidia and Microsoft, reflecting a broader market optimism. Eric Diton, president and managing director at The Wealth Alliance, noted, "Thanksgiving week typically brings strong market performance. Everyone's feeling optimistic." However, he cautioned that the future could bring uncertainties. The futures market indicates an 85% likelihood of the U.S. Federal Reserve reducing interest rates by a quarter percentage point in December. High expectations can sometimes lead to disappointment, which could trigger a market sell-off, he warned, although he remains hopeful that the Fed will meet expectations. Looking ahead, if Kevin Hassett, currently the National Economic Council Director, takes over as Fed chair from Jerome Powell, there may be further declines in interest rates. Such monetary easing is generally favorable for stock performance, which has led to optimistic projections for the S&P 500, including predictions of reaching 7,400 or even 8,000 by the end of 2026. In other news, Apple's smartphone shipments are set to surpass Samsung's for the first time in 14 years, with expectations of shipping 243 million iPhones compared to Samsung's 235 million. The U.K. has unveiled its Autumn Budget, introducing tax incentives for startup employees and investors, although some measures have raised concerns about being a "stealth tax" on workers due to frozen income tax thresholds. Additionally, a recent MIT study revealed that AI could potentially replace 11.7% of the U.S. workforce, translating to around $1.2 trillion in wages across sectors like finance and healthcare. This simulation, which analyzed 151 million workers, highlights the significant impact of AI on future employment. With U.S. venture capital in AI and robotics surpassing $160 billion this year, interest from global investors remains strong, particularly as they navigate the regulatory landscape and competitive dynamics in China, where AI investments are notably lower at just over $10 billion.